D stuck within tight trading range
Dominion Energy Inc. (D) Technical Analysis Report for Jan 24, 2020 | by Techniquant Editorial Team
D finished the week -0.06% lower at 84.00 after edging lower $0.07 (-0.08%) today, but still outperforming the S&P 500 (-0.9%). Trading $0.30 higher after the open, the stock was unable to hold its gains as the bears took control ending the day below its opening price. Closing within the prior day's range, prices missed to decisively move beyond the previous day's trading range.
Daily Candlestick Chart (D as at Jan 24, 2020):
Friday's trading range has been $0.87 (1.04%), that's slightly above the last trading month's daily average range of $0.81. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for D. Prices continued to consolidate within a tight trading range between 83.40 and 84.42 where it has been caught now for the last three trading days.
Four candlestick patterns are matching today's price action, the Northern Doji which is known as bearish pattern and three neutral patterns, the Doji, the Long-Legged Doji and the Rickshaw-Man. The last time a Rickshaw-Man showed up on November 4, 2019, D lost -2.05% on the following trading day.
Prices are trading close to the key technical support level at 83.40 (S1). Prices are trading close to the key technical resistance level at 84.42 (R1). After having been unable to move lower than 83.40 in the prior session, the share found buyers again around the same price level today at 83.47.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could speed up should prices move above the close-by swing high at 84.42 where further buy stops might get triggered. Selling could accelerate should prices move below the nearby swing low at 83.40 where further sell stops might get activated.
Among the eight market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Long-Legged Doji" stand out. Although it is usually interpreted as neutral, it has actually shown to be bullish for Dominion Energy. Out of 30 times, D closed higher 56.67% of the time on the next trading day after the market condition occurred.